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Government Imposes Fines and Forced Sales on Small Businesses in Santa Clara

Sunday, August 4, 2024 by Grace Ramos

Government Imposes Fines and Forced Sales on Small Businesses in Santa Clara
Price violations in Santa Clara - Image © Facebook/Dim Sta Clara

Government inspectors in Santa Clara, located in the province of Villa Clara, have levied fines and compelled private businesses to sell their products due to alleged price violations. These violations were identified across all Popular Councils in the region, according to a post on the Facebook page of the Municipal Directorate of Inspectors.

"Out of the 95 entities visited, infractions were detected in 87 of them, with 49 violating Decree 30 on retail prices," the Directorate reported on social media. Among the measures taken by the Santa Clara inspectors were: seven fines for misinformation, 10 fines for consumer deception or price alteration, seven fines for not having cost sheets, one fine for product retention, and 24 fines for applying abusive prices.

Regarding the last point, it was noted that 17 of the 24 cases violated the provisions of Resolution 225/2024 of the Ministry of Finance and Prices, which they listed as follows:

  • 2 self-employed workers commercializing chicken;
  • 3 self-employed workers commercializing sausages;
  • 7 self-employed workers commercializing pasta;
  • 4 self-employed workers commercializing cooking oil;
  • 1 self-employed worker commercializing detergent.

Resolution 225/2024, enacted by the Ministry of Finance and Prices, set the retail prices for chicken parts, edible oils (excluding olive oil), powdered milk, pasta, sausages, and powdered detergent. Since its implementation in early July, control operations have been deployed nationwide to detect price violations and sanction offenders.

Fines for private businesses that fail to comply with these measures could exceed 8,000 pesos. In the days following the resolution’s enactment, Vladimir Regueiro Ale, the Minister of Finance and Prices, stated in a prime-time broadcast of the Cuban Television News that 1,079 "control actions" had been conducted, resulting in fines or warnings for 393 price violations.

In Cabaiguán, a municipality in Sancti Spíritus, nearly 40 small businesses and self-employed workers were fined for violating capped prices in the second half of July. From Friday, July 12th to the 29th of the same month, inspectors sanctioned 38 private businesses, issuing fines totaling over 113,000 pesos, according to the newspaper Escambray.

Understanding the Impact of Price Control Violations in Cuba

This section addresses common questions related to the recent enforcement of price controls in Santa Clara and other regions of Cuba.

What is Decree 30 and how does it affect retail prices?

Decree 30 is a regulation that sets the retail prices for various goods in Cuba. Businesses found violating these prices face fines and other sanctions.

What kind of fines can businesses expect for price violations?

Fines for price violations can exceed 8,000 pesos, depending on the severity and frequency of the infractions.

Which products are regulated under Resolution 225/2024?

Resolution 225/2024 regulates the retail prices of chicken parts, edible oils (excluding olive oil), powdered milk, pasta, sausages, and powdered detergent.

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